>> REVIEW OF PERFORMANCE
This is an update to my trading plan set out a month ago - Plan for December 2020 to April 2021.
I set out these targets:
>> UPDATE
WHAT'S GOOD
I'm adding funds every week - a certain % of my income. I'm also adding larger chunks where I can afford to based on my household budget, but these are strictly sitting in cash or USDT, not going straight into positions.
I'm trying to stop getting lost in the Twitter chatter and focus on the macro trends. This has actually improved my trading. I've been looking at AltcoinSherpa's excellent videos on Bitcoin dominance and macro market analysis, to widen my perspective.
As a result - I didn't enter any big alt positions, I kept a BTC position running, and managed to scalp SushiSwap run before correction. I'm depending far more on my own analysis for the first time, rather than Twitter traders.
I've been doing my best ever setups and managed to enter NYSE:IPOC
INAQ
NYSE:GIK based on reading the charts and setting sensible bids. I'm really enjoying the way these positions are building!
I'm showing discipline with my position sizes. Right now they're all just about equal and I'm not over-exposed to any one asset - whether it's a SPAC or a cryptocurrency. In time, this will change but for now, it's totally uniform. This also allows me to better manage my cash reserves - for example, right now in my equities account I've got funds for 3 more positions.
The only position I sold this month was
CRM
. I feel sure this will have a run very soon, but I'm content to miss it and repurpose that position towards a SPAC - looking for an entry on NYSE:IPOF. I just think it has better upside, lower downside.
WHAT'S NOT PERFECT YET
I set up a series of watchlists but quickly realised that I'm not going to have the time or the discipline to check 30+ charts every week. I'm making use of TradingView's alerts feature. It's obvious to me that just setting alerts on key support or resistance levels and coming back in a month will pay off in future and will 'let the market come to me'.
I got cocky very quickly and started showing my portfolio to friends and being more reckless - then I entered NYSE:ATAC with no research and minimal TA. Sure enough, was my worst entry this month. Just goes to show how important it is to stay humble and emotionally disciplined. Keep trading private (except for fellow degens on Twitter) and keep emotions out of it. So I've banned myself from entering new positions for a week or so.
I've pulled all my funds off Uniswap for the moment. That may change in the coming weeks or months, but I'm not happy with the lack of stop losses, the high gas fees and the peurile, gross culture that surrounds DeFi microcaps. I feel frustrated at not being able to get on top of this market.
The fact is that I still can't figure out DeFi (beyond the DeFi majors) there is so much information out there and so much data to sort through. I'm hoping to improve on this in 2021. Any suggestions are welcome!
>> PORTFOLIO ALLOCATION
SPACs are my best performing positions at present - basically, they are a faster, easier alternative to IPOs and they're in a bubble. They offer downside protection if you can buy them at $10, so my strategy is to buy in at $10-12 and then ride them to $20-50 depending on hype and how price action develops. That's minimal downside, decent upside.
For this reason I'm building cash reserves in my equities account, this is my focus until Q1 2021 and then I'll re-assess. It's a no-brainer for me (credit to SPAC Mikey for the inspiration).
Crypto-wise I'm only on BTC for now, closely monitoring alts and looking for a market-wide move to the upside. I plan to scale in to DeFi majors over the coming weeks to months -
YFIUSDT
,
SUSHIUSDT
,
DOTUSDT
and
AAVEUSDT
.
For now I am watching and waiting with crypto - what I've found is most people scale into alts far too early in the crypto space due to confirmation bias - they love alts and never seem to trade other markets so they can't see the wood for the trees. It really skews your perspective to only trade one market as a trader and this is my biggest regret from 2017/18, so I'm making sure not to be a crypto-only trader going forward.
>> TARGETS FOR JANUARY
Here are my targets for next month:
That's it for this month - thank you so much for reading!
This is an update to my trading plan set out a month ago - Plan for December 2020 to April 2021.
I set out these targets:
- Add funds month on month - disposable income only
- Monitor trends, but stop trying to snipe tops/bottoms
- Maintain a watchlist and a few good sources
- Enter positions only on good setups
- Keep position sizes small and only risk 1x position on 1x idea
- Sell at pre-determined levels
- Use micro positions on Uniswap
>> UPDATE
WHAT'S GOOD
I'm adding funds every week - a certain % of my income. I'm also adding larger chunks where I can afford to based on my household budget, but these are strictly sitting in cash or USDT, not going straight into positions.
I'm trying to stop getting lost in the Twitter chatter and focus on the macro trends. This has actually improved my trading. I've been looking at AltcoinSherpa's excellent videos on Bitcoin dominance and macro market analysis, to widen my perspective.
As a result - I didn't enter any big alt positions, I kept a BTC position running, and managed to scalp SushiSwap run before correction. I'm depending far more on my own analysis for the first time, rather than Twitter traders.
I've been doing my best ever setups and managed to enter NYSE:IPOC
INAQ
NYSE:GIK based on reading the charts and setting sensible bids. I'm really enjoying the way these positions are building! I'm showing discipline with my position sizes. Right now they're all just about equal and I'm not over-exposed to any one asset - whether it's a SPAC or a cryptocurrency. In time, this will change but for now, it's totally uniform. This also allows me to better manage my cash reserves - for example, right now in my equities account I've got funds for 3 more positions.
The only position I sold this month was
CRM
. I feel sure this will have a run very soon, but I'm content to miss it and repurpose that position towards a SPAC - looking for an entry on NYSE:IPOF. I just think it has better upside, lower downside. WHAT'S NOT PERFECT YET
I set up a series of watchlists but quickly realised that I'm not going to have the time or the discipline to check 30+ charts every week. I'm making use of TradingView's alerts feature. It's obvious to me that just setting alerts on key support or resistance levels and coming back in a month will pay off in future and will 'let the market come to me'.
I got cocky very quickly and started showing my portfolio to friends and being more reckless - then I entered NYSE:ATAC with no research and minimal TA. Sure enough, was my worst entry this month. Just goes to show how important it is to stay humble and emotionally disciplined. Keep trading private (except for fellow degens on Twitter) and keep emotions out of it. So I've banned myself from entering new positions for a week or so.
I've pulled all my funds off Uniswap for the moment. That may change in the coming weeks or months, but I'm not happy with the lack of stop losses, the high gas fees and the peurile, gross culture that surrounds DeFi microcaps. I feel frustrated at not being able to get on top of this market.
The fact is that I still can't figure out DeFi (beyond the DeFi majors) there is so much information out there and so much data to sort through. I'm hoping to improve on this in 2021. Any suggestions are welcome!
>> PORTFOLIO ALLOCATION
SPACs are my best performing positions at present - basically, they are a faster, easier alternative to IPOs and they're in a bubble. They offer downside protection if you can buy them at $10, so my strategy is to buy in at $10-12 and then ride them to $20-50 depending on hype and how price action develops. That's minimal downside, decent upside.
For this reason I'm building cash reserves in my equities account, this is my focus until Q1 2021 and then I'll re-assess. It's a no-brainer for me (credit to SPAC Mikey for the inspiration).
Crypto-wise I'm only on BTC for now, closely monitoring alts and looking for a market-wide move to the upside. I plan to scale in to DeFi majors over the coming weeks to months -
YFIUSDT
,
SUSHIUSDT
,
DOTUSDT
and
AAVEUSDT
. For now I am watching and waiting with crypto - what I've found is most people scale into alts far too early in the crypto space due to confirmation bias - they love alts and never seem to trade other markets so they can't see the wood for the trees. It really skews your perspective to only trade one market as a trader and this is my biggest regret from 2017/18, so I'm making sure not to be a crypto-only trader going forward.
>> TARGETS FOR JANUARY
Here are my targets for next month:
- Put in place a routine for market and asset analysis - for example, chart BTC daily every week, look for new SPACS every day
- Build up a new watchlist of decent traders and analysts - do a study of their technique and what tools they use
- Set up a "day-trading only" bag with small position sizes - purely for trading practice, to get better at identifying and executing setups
- Create a Trello board to track catalysts for SPACs (letter of interest, definitive agreement, ticker change).
- Do a deep study of 1 trading topic - for example, Wyckoff analysis.
That's it for this month - thank you so much for reading!
